false loan applcations

ASIC permanently bans former NAB financial adviser

ASIC permanently bans former NAB financial adviser

ASIC has permanently banned Mr Max Kiattisak Eung (also known as Kiattisak Eungpongpan), of Tempe, New South Wales from providing financial services and engaging in credit activities.

ASIC bans mortgage broker from credit for three years

ASIC bans mortgage broker from credit for three years

Mr Wilkins was a mortgage broker and helped clients to arrange finance to purchase properties. ASIC found that on five occasions in June and July 2010, Mr Wilkins submitted loan applications on behalf of clients in which he deliberately overstated their savings by between about $130,000 and $179,000.

MEDIA RELEASE: What To Expect From Your Financial Planner

MEDIA RELEASE: What To Expect From Your Financial Planner

With the Royal Commission into the banking sector confirmed, it’s refreshing to know some financial industry professionals still put their clients’ interests first.

Former Victorian financial adviser banned for forgery

Former Victorian financial adviser banned for forgery

The Australian Securities and Investment Commission (ASIC) has permanently banned financial adviser Koresh Daniel Houghton from providing financial services because he had engaged in misleading, deceptive and dishonest conduct and failed to act in his clients' best interests when providing advice.

ASIC bans former Magnitude Group adviser

ASIC bans former Magnitude Group adviser

The Australian Securities and Investment Commission (ASIC) has banned Perth financial adviser Jason Sean Atkins from providing financial services for a period of three years.

ASIC Permanently Bans Perth Financial Adviser - Mr Robert Hutchison

ASIC Permanently Bans Perth Financial Adviser - Mr Robert Hutchison

ASIC has permanently banned Mr Robert Hutchison, of Lower Chittering in Western Australia, from providing financial services.

ASIC starts investigating hundreds of SMSFs

Self Managed Super Funds

The corporate regulator has launched a major investigation into hundreds of funds in a bid to uncover unlicensed SMSF advice.

As reported by ifa sister publication SMSF Adviser earlier this year, ASIC is currently conducting a major shadow shopping exercise, and has now started contacting various SMSF professionals to collate data on the set-up process of hundreds of funds, as part of a massive research project set for release later this year.

 

In emails seen by SMSF Adviser, it is clear ASIC has selected several hundred funds that were set up in September 2016 for random investigation, and is contacting tax agents associated with the funds.

ASIC is asking if the clients of the tax agents received any professional advice about establishing their SMSF and, if so, that the contact details are passed on.

While ASIC is gathering details about both financial advisers and accountants as part of this project, it is understood that broadly, unlicensed accountants in particular are on the regulatory radar.

The information supplied to ASIC is treated as anonymous, but the general findings will be published in a report slated for the second half of this year, an ASIC spokesperson told SMSF Adviser.

ASIC could not outline any further details of the investigation, except to confirm that it is pursuing its “major” shadow shop as announced in February, and will be looking at random samples of SMSF advice.

Despite being relatively lax in the past to instances of accountants operating outside of the accountants’ exemption in particular, BDO’s national leader for superannuation Shirley Schaefer suggested ASIC will be taking no prisoners this time around.

“I suspect a lot of accountants have sat outside the accountants’ exemption for years, and ASIC never did anything about it in the past,” Ms Schaefer told SMSF Adviser.

She acknowledged that many accountants do not agree that the SMSF services they are providing fall into the financial advice category, an argument that is largely irrelevant in 2017.

“This is not just tax advice. I certainly believe [SMSFs are] a structure not a product, but that argument is gone. There’s no point having that one again. We’ve been there and it’s gone,” Ms Schaefer said.

 

Article from: Independent Financial Advisor 

KATARINA TAURIAN- Wednesday, 29 March 2017

ASIC permanently bans former Melbourne insurance broker Mr Anthony Doring, from providing financial services

Financial adviser

ASIC has permanently banned Mr Anthony Doring of Melbourne, Victoria, from providing financial services. Between 2009 and October 2015, Mr Doring was a manager of Phil Doring Insurance Brokers (PDIB), which provided insurance services and which had offices in Mackay and Melbourne.

ASIC has permanently banned Mr Anthony Doring of Melbourne, Victoria, from providing financial services. Between 2009 and October 2015, Mr Doring was a manager of Phil Doring Insurance Brokers (PDIB), which provided insurance services and which had offices in Mackay and Melbourne.

Following a hearing, ASIC found that Mr Doring had:

  • failed to ensure that PDIB operated pursuant to an Australian financial services (AFS) licence when providing financial services;
  • deliberately engaged in dishonest conduct by misappropriating money from the PDIB trust account, and using this to enable PDIB to continue trading;
  • cancelled client insurance policies without authorisation; and
  • failed to comply with the requirement that a person who is licenced with an AFS license lodge an annual auditor's report and financial statements with ASIC. 

In addition, Mr Doring was made bankrupt on 19 July 2016.

ASIC Deputy Chairman Peter Kell said, 'The investing public needs to be able to trust those who provide financial services.'

'ASIC will act to remove those who behave without regard to their obligations to their clients from the financial services industry.'

Mr Doring's banning will be recorded on ASIC's register of financial advisers.

Mr Doring has a right of appeal to the Administrative Appeals Tribunal.

Background

Mr Doring failed to obtain an AFS licence for the PDIB business following the death of his father, Phillip Doring, in April 2013. Phillip Doring had held an AFS licence in his personal capacity.

In October 2015, Steadfast Group Limited, a dealer group of which PDIB was a member, reported its concerns to ASIC regarding the conduct of Mr Doring and the existence of an apparent shortfall in the PDIB trust account of between $700,000 and $1.1 million.

PDIB was placed into liquidation on 18 April 2016 with Peter Gountzos of SV Partners appointed as liquidator.

Former Westpac Home Finance Manager sentenced to 3 years imprisonment after pleading guilty to dishonest use of his position

ASIC.jpg

Following an ASIC investigation, Mr. David St Pierre, a former Westpac Home Finance Manager, has been sentenced in the Southport District Court to 3 years imprisonment, to be released after 6 months on a recognisance order.

On 2 November 2016, Mr St Pierre pleaded guilty to three counts of dishonest use of his position, with the intention of directly or indirectly gaining an advantage for himself or others.

ASIC alleged that between July 2008 and June 2010, Mr St Pierre dishonestly used his position and submitted loan applications for approval when he knew they contained false information and false documents. 

Mr St Pierre obtained over $2.5 million for Westpac customers, that they invested with a now failed Tasmanian property development scheme, operated by Capital Growth International Club Pty Ltd (CGIC) and All About Property Developments Pty Ltd (AAPD) (refer: 15-137MR).

In delivering the sentence, Judge Kent QC remarked that Mr St Pierre's behaviour was described accurately in his opinion by the Crown as calculated, elaborate, determined and not a fleeting mistake.

ASIC Commissioner Peter Kell said: "Mr St Pierre's actions betrayed the trust of his clients and caused them significant financial harm. This sentence showed such behaviour will not be tolerated.'

The matter was prosecuted by the Commonwealth Director of Public Prosecutions.

Mr St Pierre's recognisance is in the sum of $1000, conditioned that he be of good behaviour for a period of 3 years.

Background

ASIC's investigation found that the customers to whom the loan applications related were elderly and vulnerable and with limited financial means, yet in spite of this, Mr St Pierre encouraged them to borrow against their homes, some of which were unencumbered, to invest with CGIC and AAPD, which promised returns of 12–20% per annum.  

The customers received monthly interest payments from CGIC and AAPD after they invested, however the interest payments stopped shortly before a liquidator was appointed on 28 February 2011.  This left customers without sufficient income with which to repay their loans to Westpac.

Westpac has compensated customers who obtained loans from Westpac through Mr St Pierre in relation to amounts they invested in CGIC.  Westpac has also compensated investors who did not borrow funds from Westpac but claimed to have had some direct contact with Mr St Pierre before making their investment in CGIC. ASIC acknowledges Westpac's commitment to achieving a resolution for the benefit of CGIC investors. (refer: 14-264MR).

In March 2014, ASIC permanently banned Mr St Pierre from engaging in credit activities and providing financial services (refer: 14-043MR).

ASIC'S investigations into CGIC, AAPD and its officers are ongoing.

 

16-444MR ASIC permanently bans former financial planner Stewart Banks

ASIC has permanently banned Queensland financial adviser Mr Stewart James Banks, from the Gold Coast, from providing financial services and engaging in credit activity.  

Mr Banks was employed as a representative of Professional Investment Services (PIS) from 18 April 2007 until 20 May 2015. 

ASIC found that during the period between September 2012 and April 2015, Mr Banks had acted dishonestly and engaged in misleading and deceptive conduct under the Corporations Act, in that he: 

  • Created documents, invoices, and fee forms in relation to six clients which were false because he did not undertake the hours of work claimed and was not entitled to the fees charged; 
  • Told two clients that he was paid by the insurance product provider when in fact he drew fees directly from clients' superannuation; 
  • Provided false declarations to the trustee of the superannuation fund in order to access fees from six clients' superannuation accounts totalling $286,530.60; and 
  • Gave funds to clients from their superannuation, and unknown to his clients, kept a portion of the funds for himself.  

ASIC also found that Mr Banks was not of good fame and character as his conduct was dishonest and involved the betrayal of client trust, as well as deceiving PIS and the trustee of the superannuation fund.  

ASIC Deputy Chair Peter Kell said, 'ASIC will take action to remove dishonest persons from the financial services and credit industry to protect the public.  

'Mr Banks' conduct was particularly harmful in that his actions eroded his clients' superannuation, which exists for the sole purpose of providing retirement benefits to members, or to their dependents if a member dies before retirement.' 

Mr Banks has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.